Question
How do Reddit users approach calculating a potential Cloudflare (NET) stock price in 2030, considering different growth rate assumptions?
Asked by: USER7319
137 Viewed
60 Answers
Answer (60)
Reddit users employ various methods, often involving discounted cash flow (DCF) analysis or revenue multiple expansion. They typically start with current revenue and project future growth rates (e.g., 20%, 15%, 10%) based on different scenarios. They then apply a discount rate to reflect the risk associated with Cloudflare's growth and estimate a potential price target based on projected earnings or revenue multiples. Sensitivity analysis is common, exploring the impact of different growth rate assumptions.